A St. Louis woman has been sentenced to 41 months in prison for her role in a pandemic loan fraud scheme.
Edna E. McGowan-Baker, 48, engaged in a scheme between May 2020 and September 2021 to fraudulently obtain Paycheck Protection Program (PPP) loans, which were intended to aid small businesses in paying and retaining employees during the COVID-19 pandemic.
McGowan-Baker applied for seven PPP loans for five different companies in her name, only two of which were in operation. On the loan applications, McGowan-Baker falsified the companies’ payroll, number of employees and annual income to inflate the amount of PPP loan money she could receive. She also submitted fraudulent tax forms with the applications.
McGowan-Baker certified on the applications that she would use the loans for payroll and other authorized expenses but used the money for her own bills and to make personal purchases and payments to others. She also submitted fraudulent applications for PPP loan forgiveness, falsely stating that she used the loans for authorized expenses.
The FBI investigated the case and Assistant U.S. Attorney Jonathan Clow is prosecuting the case. McGowan-Baker pleaded guilty in March in U.S. District Court in St. Louis to one count of wire fraud and two counts of bank fraud.
She was ordered to repay $149,194, representing the fraudulent loans she received, interest and loan processing fees. The case serves as a reminder of the importance of reporting pandemic-related fraud. Anyone with information should call the National Center for Disaster Fraud Hotline at 866-720-5721 or report via their Web Complaint Form.
Edna E. McGowan-Baker
Real full name: Edna E. McGowan-Baker
Criminal charges: one count of wire fraud and two counts of bank fraud
City and state: St. Louis, Missouri
Exact date: Thursday, March 2023
Sentence or outcome: 41 months in prison and ordered to repay $149,194
Dollar amounts: $149,194 (repayment amount)
Related Federal Cases
- Camille Childress, Healthcare Fraud, Missouri 2021 · Maryland
- David Lee Keithley, Tax Fraud Scheme, Missouri 2016 · Kansas
- Albert William Roberts III, Wire Fraud, Missouri 2007 · Kansas
- Julie M. Drake, Wire Fraud and Methamphetamine Possession, Missouri 2015 · Indiana
- John Dean Townsend, Conspiracy to Commit Identity Theft and Access Device Fraud, Missouri 2023 · Idaho
Key Facts
- State: Missouri
- Category: Fraud & Financial Crimes
- Source: DOJ Press Release â†â€â€
ðŸâ€Â’ Get the grimiest stories delivered weekly. Subscribe free →
MORE FEDERAL CRIME NEWS
US NewsUS NewsUS NewsUS News